Logistics, Ports & Terminals, Mining and Heavy Industries

Fortescue looking to maintain figures in 2016/17

Two fortescue locos - Photo FMG

Australian miner Fortescue Metals Group has announced plans to keep export figures stable in the 2016/17 financial year, after it revealed strong fourth quarter numbers last week.

The iron ore miner announced on July 27 it exported 47.8mt of iron ore in the June quarter this year, up 14%.

The strong June quarter brought FMG’s total mined product to 181.8mt in the financial year.

It shipped a total of 169.4mt of that ore in the period.

That shipping figure is within the miner’s 2016/17 target, which it also announced on July 27, of 165-170mt.

Chief executive Nev Power reflected on the strong last quarter.

“Our June quarter result demonstrates the consistent delivery of outstanding operational performance across all aspects of our business,” he said.

“Costs have been lowered for the tenth consecutive quarter and our continued focus on productivity and efficiency measures will drive C1 costs even lower in FY17.”

FMG announced C1 costs of US$14.31 per wet metric tonne in the fourth quarter, down 35% year-on-year.

“With net debt reduced to US$5.2 billion, we are fast approaching our initial balance sheet targets and will continue to apply cash flows to further reduce debt.

“Our team continued to innovate and deliver sustainable cost improvements through a focus on productivity and efficiency at our world class mining and infrastructure assets to generate long term value for our shareholders.”

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